Singapore: Property Cooling Measures

[BoyRacer]

Game Over? New Property Cooling Measures Restrict Mortgages → crei-academy.com/game-over-n … mortgages/

On 5th October, Friday, the Monetary Authority of Singapore (MAS) announced that it was capping the length of a home loan at 35 years.
MAS is taking this step now to require more prudent lending and to continue to watch the property market carefully.
And Singapore has signalled clearly that it will not lag behind the regulatory curve.

there is more

[Blue_Horseshoe]

From the BBC website, 14th January 2013

[

Residential prices rose to a record-high in the fourth quarter. The government has imposed an added stamp duty for permanent residents buying their first home, and Singaporeans buying their second. The amount of money home buyers can borrow on their second mortgage will also be tightened. And cash down payment on second loans will rise to 25% from 10%.

](Singapore steps up property curbs to bring down prices - BBC News)

I can’t help but contrast the reaction of the Singaporean authorities to a “frothy” property market and that of Irish governments. In Singapore they drive supply side and cap the borrowing power of buyers. In Ireland increases in prices were met by the banking regulator allowing longer periods in the duration of a mortgage, up to 40 years, the lending of higher income multiples, often in excess of 10 times, members of the government acting as cheerleaders for the property market and the extension of tax relief for buyers.

Can a reaction by the government to protect its citizens rather than a narrow vested interest group be in any way related to Singapore ranking as one of the least corrupt countries in the Transparency International surveys?

cpi.transparency.org/cpi2012/results/

Blue Horseshoe

[taipeir]

Actually Ita not that simple. The Singapore government and developers have done very well from encouraging property sales to foreigners.
Discontent has been brewing for a long time with regards jobs and inflation, especially with the numbers of Mainland Chinese moving there, and this is the result of that.
Plus at this stage there have been enough examples over the last few years that even a monkey can see it would not end well if they don’t get a grip on things now.